It is not the scarcity of resources that constitutes environmental problems, but their use, the physical throughput of our economies. Material flows are a proxy for the totality of the unspecific environmental risks from human activities. As a strategic goal, an increase of the life-cycle-wide resource productivity by a factor 10 is suggested, including the materials bought and sold and the not-valued materials: we have to take into account the product itself and its "ecological rucksack". Material flows are best measured at the input side of the economy, where their number as well as the number of entry gates is limited. Thus here regulation and economic incentives can work more efficiently and less bureaucratically than today. The material intensity of products and services can be expressed as MIPS, the material input per unit of service, and as TMR, the total material requirement on the macro level, an important element in physical input–output tables.

In a German case study, environmental input-output analyses (eIOA) combined with NAMEA-type tables were conducted for eleven selected environmental pressure variables. (NAMEA is an acronym for national accounts matrix including environmental accounts.) The analyses were conducted to derive the production-cycle-wide resource use and environmental impact potentials of final-demand product groups. The methodology permits identification and preliminary ranking of 10 product chains along which about two-thirds of German production-born environmental pressures arise. The most relevant product groups are construction work, food, motor vehicles, basic metals, and electricity. The ten product groups are characterized by both high resource requirements and high residual outputs (air emissions, wastes). The EU policy areas of integrated product policy and sustainable use of natural resources may address these product chains as a priority in order to identify and explore the possibility of reducing the environmental impacts from products throughout their life cycles and to decouple environmental impacts from resource use.

The use of materials and the generation of waste are linked to economic activities and in many projections these are assumed to be a constant ratio of the economic activities. This may be the case considering detailed economic activities and unchanged technology. However, the assumption of constant coefficients is questionable when linking material use and waste generation to aggregated economic activities. Therefore, in this paper, econometrics is used to test the assumption of constant waste coefficients empirically. The analyses show that an assumption of constant waste coefficients is not supported, generally, and amodel allowing for trendwise changing coefficients is developed and used for projections of waste and material flows in 25 European countries.

This paper examines the connection between globalisation, with its growth in world trade links, and certain ecological effects especially concerning "North-South" relations. Although world trade in the mid-nineties was significantly uncoupled from growth trends in the world economy, so that since then it has increased nearly three times faster than the global GDP, certain indicators of energy use and CO2 emissions have not developed proportionately to world trade; globalisation evidently does not lead to a situation where pressures on the environment are increasing to the same extent worldwide. This de-linking may, however, result in the kind of shifts that we examine here with reference to the material trade flows of the European Union. It will be shown that, in the course of globalisation, the countries of the EU have increasingly shifted environmental burdens on to the countries of the South, especially in the form of ecological rucksacks of imported raw materials, while at the same time reducing the pressure on their own domestic environment by extracting fewer material resources. Furthermore, goods whose production places intensive pressure on the environment (industrial emissions into the atmosphere and water, heavy metal emissions, etc.) have been increasingly imported from newly industrializing or developing countries. The greater covering of material requirements from foreign resources has served not so much the EU's internal consumption as its own production of export goods; this shows that the EU has an increasing share in the resource requirement of other economies. The paper concludes that it is absolutely necessary to consider the international dimension in any strategy for more productive use of resources in industrial countries. In the long term, the EU's resource use should also be reduced in absolute terms. This will also be necessary in order to reduce the pressure on the environment due to imports and exports.